The Management Company for Assets Arising from the Banking Sector Reorganisation (Sareb) has completed the first half of the year with income of 1,696 million euros. Of this figure 74% originates from the management and sale of financial assets and the remaining 26%, from real estate assets.
The paying off of debt, one of the main management priorities of the disposal mandate granted to Sareb, has increased to 1,636 million euros. The objective for 2014, is to pay-off 3,000 million euros, 50% more than in 2013.
Sareb sold 8,104 properties via its retail sales channel up to June and is nearing its forecasted figure of 11,000 units for 2014. This data reiterates the management company's solid position as one of the key players in the real estate market. Sareb is selling 45 units per day, which is well above the objectives set for 2014. In addition, the company's aim is to drive retail sales by developing a channel comprised of self-employed professionals and real estate brokerage firms, which have been authorised as "Sareb Collaborators".
For Sareb's CEO, Jaime Echegoyen, "market data confirms that the economy is beginning to recover, which has also been noted in the finance and real estate markets, which are now attracting local and international investors."
Out of all of the properties sold in the first half of the year, the Community of Valencia (17.5%), Madrid (16.3%) and Catalonia (12.2%) are the regions with the highest percentage of sales.
Over the first months of the year, Sareb saw a great deal of activity in the wholesale/institutional channel, with various real estate and financial asset portfolios being put on to the market. Just a few days ago, the company completed the sale of a loan portfolio, known as Pamela, for a par value of €200 million. The "Pamela" sale is the biggest wholesale/institutional sale completed by Sareb to-date this year and one of the highest value portfolios sold since the company was created.
This deal also comes on the back of the success of the Crossover project just a few months ago, which has enabled Sareb to sell two urban land portfolios for 108 million euros. The company has also pushed ahead with renting properties, in order to generate income, whilst they remain on the balance sheet. In July the company signed an agreement with the tourist operator Pierre & Vacances to operate four properties located on the coasts of Majorca, Alicante and Tarragona.
Agreements with Autonomous Communities
Over the first half of the year and based on Sareb's commitment to society, the company signed an agreement with the Generalitat to temporarily transfer 600 apartments, which will be used as affordable housing to rent. It is the first agreement of its type with an Autonomous Community and Sareb aims to reach similar agreements with other institutions, in order to temporarily transfer a portfolio of 2,000 apartments.